Finance function improvement methodologyThe finance function improvement methodology includes 5 key Phases. Each of these in turn has various sub-phases. These key Phases include: - Diagnostic
- Core finance
- Develop
- Strategic options
- Deliver
Finance function improvement methodology overview diagram:  1. Finance function diagnosticFrom experience we have found, conducting a finance function diagnostic to establish the key issues is an important part of the process. We have also found from experience that the issues that occur in finance functions needing to improve are both consistent and similar. 2. Core financeGetting the basics right in the finance function is the place to start. These basics include the organisation structure, core finance processes and related technology. Reviewing each of these and assessing their suitability and opportunities for improvement. 3. DevelopWhen you have the basics right in the finance function, more time is freed up to begin considering policy and the implementation of this policy around working capital management, risk and internal controls, as well as cost and performance management. This is where significant value can be added to the organisation. 4. Strategic options for financeConsideration of the future strategies of the organisation and the needs of the organisation with respect to the finance function now become more important. These are larger decisions, which will impact the organisation and require significant change and investment. 5. DeliverThis is where the outcomes from the strategic options and the develop phase come together and are implemented. Each organization will differ in requirements when it comes to implementation, depending on some of the following factors: - Size of the organization
- Size of the finance function
- Technology in place or to be implemented
- Strategic options selected such as shared services or outsourcing or both
- Organization goals and objectives
- Changes in Business direction
Explore each of the methodology areas to learn more Finance function diagnostic | Get the basics right | Develop the approach | Develop strategic options
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